Kraken Acquires Institutional-Grade Cryptocurrency Portfolio Reconciliation Solution Interchange, Creates First Full-Service Crypto Trading Platform
Top euro volume exchange simplifies accounting and reporting challenges, will attract hedge funds and traders to crypto marketplace
July 31, 2019, SAN FRANCISCO – Kraken, consistently rated the most secure digital asset exchange and leader in euro volume since 2013, today announced the acquisition of Interchange, a best-in-class accounting, reconciliation and reporting service provider for cryptocurrency hedge funds, asset managers and fund administrators.
The transaction creates the world’s first end-to-end crypto trading and reconciliation platform, and brings Interchange co-founders and well-respected crypto veterans Dan Held and Clark Moody to Kraken.
Interchange offers professional-grade accounting and portfolio reconciliation tools designed specifically for the nuances and complexities of digital asset markets. Founded to improve access to crypto markets, Interchange enables institutional investors to better monitor and report their cryptocurrency holdings. In less than a year, the Interchange team has brought a new, next-generation product to the institutional marketplace, and is servicing over 60 institutions, including fund administrators and hedge funds. Clients including MG Stover, the world’s largest fund administrator for digital asset funds, value the reliability and intuitive nature of the software.
Since 2014, Kraken has registered a triple-digit growth rate (%) in institutional clients year-on-year, and continues to create new and innovative products to address their most persistent challenges. Together with Cryptowatch – Kraken’s popular multi-exchange charting, trading and portfolio-tracking platform – Interchange will provide investors and traders with an end-to-end solution to manage and optimize their portfolios.
The addition of Interchange will enable Cryptowatch to offer an unmatched set of products including historical and real-time data; advanced charting; multi-exchange trade execution; research and insights; critical accounting and portfolio reconciliation tools, and world-leading index products via Kraken’s CF Benchmarks business (formerly known as Crypto Facilities Indices). Bringing together this valuable and comprehensive offering in a single venue reinforces Kraken’s commitment to creating a best-in-class platform, supporting the adoption of crypto globally among individuals, professional traders and institutions.
“I couldn’t be more excited to welcome Dan, Clark and the Interchange team to Kraken,” said Jesse Powell, Kraken CEO. “What’s great about Interchange is that it makes accounting, trade reconciliation and reporting so much easier for institutions and individuals trading on Kraken, so our clients can stay focused on tapping the tremendous value that cryptocurrency markets offer.”
“With Interchange, we set out to build best-in-class tools for institutional traders,” said Dan Held, Co-Founder of Interchange. “Becoming part of the Kraken family will enable us to improve our core portfolio reconciliation product, while creating new possibilities for our clients who will now have easy access to Kraken’s cutting-edge suite of products.”
“Interchange is a leading crypto asset management solution and we have always relied on it to simplify accounting in the decentralized, fragmented crypto asset landscape,” said Matt Stover, MG Stover & Co. CEO.
The Interchange acquisition follows the acquisition earlier this month of Cryptofinance.ai, a software tool that provides access to prices and market data from more than 50 exchanges, as well as blockchain network data delivered via Google Sheets. In February this year, Kraken announced its acquisition of Crypto Facilities — now known as Kraken Futures — which has been its largest to date. The combination makes Kraken the only regulated exchange to offer spot and futures trading on a single platform.
Based in San Francisco, Kraken is the world’s largest global digital asset exchange in euro volume and liquidity. Kraken’s clients also trade US dollars, Canadian dollars, British pounds, Japanese yen and other digital currencies on a platform consistently rated the best and most secure bitcoin exchange by independent news media.
Founded in 2011, Kraken was the first digital asset exchange to have its market data displayed on the Bloomberg Terminal, the first to pass a cryptographically verifiable proof-of-reserves audit and one of the first exchanges to offer leveraged bitcoin margin trading.
Kraken is trusted by over 4 million traders, institutions and authorities across the world. In 2018 the exchange processed nearly $90 billion in volume while its white-glove OTC desk handled over $2 billion in trades. Since 2016, Kraken has acquired major bitcoin exchanges Coinsetter, Cavirtex and CleverCoin; the award-winning wallet-funding service Glidera; and the popular multi-exchange charting, trading and portfolio tracking platform Cryptowatch, expanding its global reach.
Kraken is backed by investors including Hummingbird Ventures, Blockchain Capital and Digital Currency Group, among others. For more information about Kraken, please visit https://www.kraken.com.
Interchange is solving crypto asset management challenges for businesses. With portfolio accounting, reconciliation, and reporting, Interchange delivers a comprehensive solution for businesses in the crypto asset industry. Growing out of a combination of CoinVantage, formerly a subsidiary of accounting firm MG Stover, and Picks & Shovels, a provider of tools for crypto investors, Interchange delivers mission-critical software products for fund administrators, hedge funds and digital exchanges.